Description
SWOT ANALYSIS OF AMERICAN FINANCIAL GROUP
American Financial Group Parent Company Category Sector Tagline/ Slogan Great American Insurance Group Diversified Insurance Banking and Financial Services Wide range of specialty coverages managed by specialists along with providing excellent service to both agents and policy holders STP Segment Target Group Property & Casualty, Annuity, Medicare, Life Businesses, Individuals and enterprises Enabling individuals and businesses to manage financial risk using insurance products and services that are tailored to meet their specific needs SWOT Analysis 1. AFG has a strong position in its domestic market where more than half of its premiums of P&C are driven by the top ten businesses. 2. The company has a combined ratio (number to measure underwriting profitability) better than the industry average that proves strong fundamentals. 3. The company has a strong code of ethics and corporate governance in place. Strength 4. The company boasts of a workforce of over 6700 employees and a CSR record on par with the industry.
USP
Positioning
1. The company is highly dependent on its domestic market for its revenues. 2. The company has significant exposure to MBS (mortgage backed securities). Weakness 3. The company however profitable is still a small scale company compared to its competitors who are global 1. The recovery in United States commercial real estate segment can boost the property and casualty insurance. 2. The company is expected to grow because of extending its scale by acquisitions to optimize its business portfolio. Opportunity 3. The global market for P&C has a positive outlook posing an opportunity to the company. 1. A complex and constantly changing regulatory structure can affect the performance of the company. 2. The company operates in an intense competition environment hence affecting its operations. Threats 3. The increase in the instance of frauds in the industry is a threat to the company. Competition 1. Ace Limited 2. CNA Financial Corporation Competitors 3. Zurich Financial Services
doc_161772097.docx
SWOT ANALYSIS OF AMERICAN FINANCIAL GROUP
American Financial Group Parent Company Category Sector Tagline/ Slogan Great American Insurance Group Diversified Insurance Banking and Financial Services Wide range of specialty coverages managed by specialists along with providing excellent service to both agents and policy holders STP Segment Target Group Property & Casualty, Annuity, Medicare, Life Businesses, Individuals and enterprises Enabling individuals and businesses to manage financial risk using insurance products and services that are tailored to meet their specific needs SWOT Analysis 1. AFG has a strong position in its domestic market where more than half of its premiums of P&C are driven by the top ten businesses. 2. The company has a combined ratio (number to measure underwriting profitability) better than the industry average that proves strong fundamentals. 3. The company has a strong code of ethics and corporate governance in place. Strength 4. The company boasts of a workforce of over 6700 employees and a CSR record on par with the industry.
USP
Positioning
1. The company is highly dependent on its domestic market for its revenues. 2. The company has significant exposure to MBS (mortgage backed securities). Weakness 3. The company however profitable is still a small scale company compared to its competitors who are global 1. The recovery in United States commercial real estate segment can boost the property and casualty insurance. 2. The company is expected to grow because of extending its scale by acquisitions to optimize its business portfolio. Opportunity 3. The global market for P&C has a positive outlook posing an opportunity to the company. 1. A complex and constantly changing regulatory structure can affect the performance of the company. 2. The company operates in an intense competition environment hence affecting its operations. Threats 3. The increase in the instance of frauds in the industry is a threat to the company. Competition 1. Ace Limited 2. CNA Financial Corporation Competitors 3. Zurich Financial Services
doc_161772097.docx